Deutsche Brauerei As A Brewing Company Essay

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Deutsche Brauerei is a brewing company that produces two different kinds of beer, dark and light. The brewery is located in a small village just outside of Munich, Germany. Their brewing techniques have consistently won several quality awards over the years. Deutsche was founded in 1737 by Gustav Schweitzer, whose picture is printed on the label of each bottle of beer that Deutsche sells. The company has been in the family for 12 generations and currently is collectively owned by 16 aunts, uncles, and cousins of the Schweitzer family. The brewery is capable of producing 1.2 million hectoliters of beer due to the purchase of new equipment in 1994. The new equipment allowed for a lot of production capacity to go unused. This helped lead to the expansion into Ukraine in 1998. The Schweitzer family decided to enter the Ukrainian market through a network of independent distributors. Lukas Schweitzer, the general manager of the company, decided to hire Oleg Pinchuk to aggressively market the beer in Ukraine. Lukas has asked for a recommendation on three important decisions that the board of directors must make. The first is the acceptance of the forecasted 2001 and 2002 budget. This is an important decision to be made because if the company is going to keep expanding at an astounding rate, the company will need to know how they are going to finance the expansion. This could include issuing more debt and increasing their interest expenses. The second topic to discuss is the

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